New Delhi: Leading public sector lenders Bank of Baroda, Bank of India and Canara Bank Friday reduced their benchmark lending rates by 0.25 percent, making home, auto and corporate loans cheaper for borrowers.

The base rate and benchmark prime lending rate (BPLR) have been lowered by 0.25 percent each with effect from February 9, Bank of Baroda (BoB) said in a BSE filing.

Bank of India (BoI) and Canara Bank also cut their base rate BPLR by 0.25 percent. Both the banks now have a base rate and BPLR of 10.25 percent and 14.50 percent.

The new rates for BoB and BoI would be applicable from February 9, while for Canara Bank it would be effective from February 4.

A host of lenders, including State Bank of India (SBI), Punjab National Bank (PNB) and HDFC Bank, have cut their lending rates, following easing of monetary policy by the Reserve Bank.

The RBI in its third quarter policy review on January 29 had lowered key short term lending rate by 0.25 percent and also injected Rs 18,000 crore liquidity through similar reduction of Cash Reserve Ratio.